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Garnethaired · Dec 5, 2006, 01:51 PM

Im a single mom as well, with just 1 child. The father is behind 6 months in child support and behind a year in medical reimbusments. But that is not my question.

Here's the background of the case:
We have an extensive mediation agreement, which grants me the right to live in the family home until the child reaches 18. The home is paid for completely. The ex is responsible for taxes, and insurance as well as mainteance/up keep. There is a clause in the agreement that states no emcumberance can be placed on the property without my consent.

Now the question: The ex just announced that he has very bad credit, and wants to take out a small mortgage on the home because he is getting sued. He is 100% sure that a judgement will be placed against him and tells me that it will be placed against the home. What does that mean exactly to me and my child? Will we be forced out before the child reaches age 18 (5 years from now)?

LUNAGODDESS · Dec 5, 2006, 02:10 PM

Hindrance agreement was included in your court decision and he cannot disobey that ruling without being held in contempt towards the courts... This is a lien on the house issue. Your husband can prevent this by asking for help from the courts through chapter 13. This is when he can ask the court to reduce the amount he needs to pay his debtors
“Chapter 13 is a special part of the bankruptcy law. It lets you file a plan that combines your debts and gives you a way to repay all or part of them while protecting you or your co-signer from harassment by creditors...”
Just a suggestion.

ScottGem · Dec 5, 2006, 02:16 PM

The mediation agreement prohibits him from placing an encumbrance without your consent. Therefore, he can't take out a mortgage without your agreement. However, if his name is on the deed, his creditors may be able to attach a lien on the property. It depends on the type of debt.

It is unlikely that they can force you from the home. But having a lien will mean you can't sell the house without satisfying the debt.

I would make sure he tells you of any court hearings and you need to go as an interested party. Explain to the creditors you have no intention of moving until your child reaches 18.

Under NO conditions do you allow a mortgage to be taken, because that could force you out in a foreclosure.

Fr_Chuck · Dec 5, 2006, 04:15 PM

Don't let him take a loan out on the house, normally if a lender puts a lien on a home, it just stays there till the house is sold, then it has to be paid off.

If you let him put a loan on it, then they can foreclose on it.

Garnethaired · Dec 6, 2006, 06:13 AM

Thank you for the advice.
But it makes me ask me another couple of questions...
The ex will not tell me what kind of judgement, or why he is being sued. Is there a way I can find out? I live in Florida.

Can a judgement be placed on real property... a homesteaded house? Even if he does not live in the home?

LUNAGODDESS · Dec 6, 2006, 06:43 AM

Why would you want to know unless you plan on helping him out by allowing him to place another mortgage on the house? For, you to search for information about his debtors could be a violation of privacy issue.

The debtor problem is his, not yours. However, it may be an excuse(by him) to reduce child support payments or some excuse to remove you from the home.

The house has his name on it and a lien can be placed on the house. Unless he protects himself there is little that can be done to stop that action. I do believe his debtors knows that fact (that you have a hindrance agreement with your [ex]husband)and are encouraging him to make other arrangements so, they can get their monies back that he owes.

Again, I see this to be his problem... he will figure it out. Just remind him you have the child's interest at heart and in the mind and the decision to make second mortgage on the house is just not in the cards.

ScottGem · Dec 6, 2006, 06:50 AM

As previously pointed out, as long as his name is on the deed, its possible for a lien to be placed against the property. It is, however, unlikely this will be done if the debt is unsecured. Most states exclude residences from such liens.

As far as finding out about the judgement, you can check with the local court to see if anything has been filed.

excon · Dec 6, 2006, 07:13 AM

Hello garnet:

Well, leave it up to me to ask questions instead of answering them. Florida has some strange laws. OJ moved to Fl. So he could keep his house, because a jillion dollar judgment against him doesn't apply there (at least in terms of his house).

I think you're home free (pun intended).

excon

PS> By the way, if you know the county where your ex is being sued, you can find the records in the courthouse - they're public.

s_cianci · Dec 10, 2006, 06:42 PM

How much does he owe on the debt(s) for which he's getting sued? What is the current market value of the house? Has he considered filing bankruptcy? That'll protect the house (unless it's a non-dischargeable debt, such as one owed to the government or a previously-entered judgement of law.) Although he can't voluntarily place a lien on it without your consent, ultimately it's at the mercy of the courts if he doesn't pay his debts some other way.

Garnethaired · Dec 11, 2006, 01:51 PM

Update:

The company suing him is a credit card company. I am currently awaiting copies of the court records now. Value of the home, in the current Florida market is easily 300,000.

How the heck much could a credit card company let you charge before they turn off your card?

ScottGem · Dec 11, 2006, 02:01 PM

I have credit lines over 20K on some of my cards. It depends more on how you make payments not how much you charge. As long as you keep making minimum payments they will keep upping your credit line and allow you to charge more.

TUCK · Dec 12, 2006, 01:15 PM

Garnethaired, your set. With the mediation agreement set to order, your x is not allowed to place any type of lien on the home without your consent. This means, his dept, his problem. If he cannot pay for the insurance, taxes and up keep, and the fact that he is 6 months behind on support, the courts will find him a job, at the COUNTY FARM! If he doesn't want to spend his life in and out of court and jail, and a judge is going to lay it out for him, he'll find a way to cover his dept. Now if he does take the option of jail to avoid his dept, there are ways for you to obtain financial assistance to cover the necessaries. His problem, not yours. Feel better, be strong, OK